July 04, 2013|By Kate Giammarise, Of The Pittsburgh Post-Gazette | By Kate Giammarise, Of The Pittsburgh Post-Gazette

HARRISBURG -- The state Senate passed a budget-related bill without language for Medicaid expansion Wednesday before adjourning for the summer, although several senators indicated they intend to revisit the issue again in the fall.

"I support the expansion of Medicaid. … It's clear at this point we are at an impasse," said Majority Leader Dominic Pileggi, R-Delware, speaking in a Senate committee meeting before the party-line 27-22 vote.

On Sunday, the Republican-controlled Senate had voted, 40-10, for a welfare code bill -- part of a larger budget package of bills -- that would have required the state to expand the program to provide health insurance to low-income Pennsylvanians.

All of the Senate's 23 Democrats voted for the measure; they were joined by 17 Republicans. However, on Monday, hours before adjourning for the summer, a House committee stripped out language from the bill approving the expansion.

Pileggi said the Senate could take up the issue again in the fall, but delaying passage of the welfare code bill would delay critical payments to hospitals.

The Senate proposal would have required the state to apply by Oct. 1 to broaden Medicaid eligibility requirements under the federal health care law while calling for reforms such as job-search requirements and an ability to modify the program's benefit packages.

Gov. Tom Corbett has said for months that he would not agree to broaden Medicaid eligibility unless the federal government allows the state to make changes to its program.

Senators also voted Wednesday to remove language from the House version of the fiscal code, part of a package of budget-related bills, that would have committed legislators to vote on language regarding short-term, high-interest "payday" loans later this year.

The Senate's unanimous vote sends the fiscal code, a key part of the budget, back to the House for approval. On Monday night, the House adjourned for the summer, although there is a non-voting day scheduled for Monday. A spokesman for the speaker of the House said the leadership is looking at whether it must receive a vote before September.

A bill to allow so-called "payday" loans was voted out of a Senate committee last month, but never made it to the floor of the Senate for a vote.

"I do not believe that the fiscal code, a bill that directly relates to our budget, is the appropriate place to address this," said Sen. Pat Browne, R-Lehigh, the sponsor of the lending legislation.

Sen. Anthony Williams, D-Philadelphia, said he was disappointed the controversial legislation was quietly inserted into the House bill.

"To do this, frankly, set that process back," Williams said.

A statement from the governor's office said failure to pass the fiscal code promptly could have implications for government spending, particularly for higher education and funds for the Philadelphia schools.

"The legislative leaders need to resolve their differences and act responsibly to send the Fiscal Code to my desk for approval as soon as possible," Corbett's statement said.